More On Legal & Compliancefrom The Advisor's Professional Library
- Do’s and Don’ts of Advisory Contracts In preparation for a compliance exam, securities regulators typically will ask to see copies of an RIAs advisory agreements. An RIA must be able to produce requested contracts and the contracts must comply with applicable SEC or state rules.
- The New and Improved Form ADV Whether an RIA is describing its investment strategy in advertisements or in the new Form ADV Part 2, it is important the firm articulates material risks faced by advisory clients and avoids language that might be construed as a guarantee.
Setting the ball rolling in implementing its Troubled Asset Relief Program (TARP) under the Economic Stabilization Act, the Treasury Department announced October 13 that it had hired Chicago-based EnnisKnupp and Associates to serve as its investment advisor to help implement TARP.
In announcing the hire, Treasury said EnnisKnupp and Associates will "begin work immediately to help the Department administer the complex portfolio of troubled assets the Department will purchase." Treasury said it hired the investment consultant "for assistance as it evaluates potential asset managers and other vendors." The firms' duties also will include "developing and maintaining investment policies and guidelines and assisting with the oversight of the portfolio's multiple asset managers. This oversight will include helping Treasury to determine asset allocations for each manager, evaluating the performance and costs, identifying conflicts of interest and identifying strategic investment and market issues impacting the overall portfolio," Treasury said.
EnnisKnupp will also "conduct research on mortgage whole loan asset managers and on servicing organizations. Additionally, the firm will identify qualified minority--and women-owned businesses--to provide services for the portfolio," Treasury said.
Treasury said it hired EnnisKnupp using a procurement contract under the Federal Acquisition Regulation. Treasury said it "competitively solicited offers from six firms under compelling urgency to quickly establish the Troubled Asset Relief Program. Three firms made offers."